I was renting a house for an individual who has since passed. I had a lease agreement at the time of her passing, during which time the house was in foreclosure. We paid her father and son the rent money not knowing we needed to sign a new lease with them. We also had found a new place to live and never told them we were moving knowing the house was being foreclosed on. The son has taken us to court for a mirror his mother had given us and a months rent. I have filed a counter suit for the storage of the mirror, first and last months rent and our deposit that was never returned to us.
It is really impossible to give you advise on this without seeing the actual complaint and counterclaim. However, based on the facts that you do present you may have a claim for triple the security deposit if you did not receive an accounting.
I recommend that you contact an attorney to discuss the facts of your case. If you are located along the front range, I may be able to help you.
Good Luck,
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